Most people don't think twice about where they keep their money. You set up a checking account, deposit your paycheck, pay your bills, and move on. But what if your bank account choice is actually costing you hundreds of dollars a year?

The truth is, many banks quietly drain your money (or prevent it from growing) through fees and low interest rates. The good news is that a simple bank account hack could help you save hundreds effortlessly -- moving your money to a high-yield savings account (HYSA).

The hack: Automate your savings with a high-yield account

The biggest mistake most people make is keeping too much money in a checking or savings account that earns little to no interest. Instead, you should transfer your extra cash into a high-yield savings account and let it grow automatically.

Step 1: Open a high-yield savings account

Traditional savings accounts currently pay an average APY of 0.41%, meaning your money barely grows, and it certainly doesn't keep pace with inflation. But HYSAs can pay 4.00% APY or more, meaning you'll earn nearly 10 times more on your savings.

Our Picks for the Best High-Yield Savings Accounts of 2025

Product	APY	Min. to Earn
American Express® High Yield Savings Member FDIC. APY 3.80% Rate info 3.80% annual percentage yield as of February 3, 2025. Terms apply. Min. to earn $0 Open Account for American Express® High Yield Savings On American Express's Secure Website. Member FDIC.	3.80% Rate info 3.80% annual percentage yield as of February 3, 2025. Terms apply.	$0	Open Account for American Express® High Yield Savings On American Express's Secure Website.
Capital One 360 Performance Savings Member FDIC. APY 3.80% Rate info See Capital One website for most up-to-date rates. Advertised Annual Percentage Yield (APY) is variable and accurate as of Dec. 6, 2024. Rates are subject to change at any time before or after account opening. Min. to earn $0 Open Account for Capital One 360 Performance Savings On Capital One's Secure Website. Member FDIC.	3.80% Rate info See Capital One website for most up-to-date rates. Advertised Annual Percentage Yield (APY) is variable and accurate as of Dec. 6, 2024. Rates are subject to change at any time before or after account opening.	$0	Open Account for Capital One 360 Performance Savings On Capital One's Secure Website.
Western Alliance Bank High-Yield Savings Premier Member FDIC. APY 4.30% Rate info The annual percentage yield (APY) is accurate as of Jan. 24, 2025, and subject to change at the Bank's discretion. Refer to product’s website for latest APY rate. Minimum deposit required to open an account is $500 and a minimum balance of $0.01 is required to earn the advertised APY. Min. to earn $500 to open, $0.01 for max APY Open Account for Western Alliance Bank High-Yield Savings Premier On Western Alliance Bank's Secure Website. Member FDIC.	4.30% Rate info The annual percentage yield (APY) is accurate as of Jan. 24, 2025, and subject to change at the Bank's discretion. Refer to product’s website for latest APY rate. Minimum deposit required to open an account is $500 and a minimum balance of $0.01 is required to earn the advertised APY.	$500 to open, $0.01 for max APY	Open Account for Western Alliance Bank High-Yield Savings Premier On Western Alliance Bank's Secure Website.

For example, if you keep $5,000 in an HYSA with a 4.00% APY, you'd earn $200 in interest in a year -- compared to just $20.50 in a typical savings account.

Don't miss out on extra interest earnings. Check out our curated list of the best high-yield savings accounts today to maximize your APY.

Step 2: Set up automatic transfers

To make saving effortless, set up a recurring transfer from your checking account to your HYSA every payday, or utilize the option that some banks have to split your direct deposit between multiple accounts. Even $50 per paycheck can add up over time, and you likely won't notice it's gone from your checking account.

Step 3: Keep only what you need in checking

Your checking account should only hold enough money for monthly bills and day-to-day spending. Anything extra should be moved to your high-yield savings account, where it can earn interest instead of sitting idle.

Bonus: Avoid hidden bank fees that drain your money

Another way banks cost you money is by charging you unnecessary fees. Some traditional banks charge:

• Monthly maintenance fees: $5 to $30 per month ($60-$360 per year).
• ATM fees: $3 to $5 per withdrawal if you use an out-of-network ATM -- the fee is shared between your bank and the ATM owner.
• Overdraft fees: $20 to $30 or more per occurrence.

How to stop paying fees

• Switch to a no-fee savings account. Luckily, many high-yield savings accounts have no monthly fees, no overdraft fees, and nationwide ATM fee reimbursements.
• Use direct deposit to meet minimum balance requirements. Some banks waive fees if you set up direct deposit.
• Set up overdraft protection. Link your checking and savings accounts so money is automatically transferred if needed.

By simply choosing a better bank account, you could save hundreds of dollars per year in fees alone.

Make the switch today

Saving money doesn't have to be complicated. By switching to a high-yield savings account, setting up automatic transfers, and avoiding hidden bank fees, you may be able to save hundreds of dollars a year -- without changing your lifestyle.

This simple bank account move could be one of the easiest money-saving startegies you ever put into place. Don't wait any longer.